Summary
- Microsoft has revealed its financial results from Q4 2024, which show a whopping 42 percent decrease in Xbox hardware revenue.
- That may be concerning for the company, but at least content and service revenue and gaming revenue are up by 61 percent and 44 percent respectively.
- Activision Blizzard's acquisition has massively bolstered both, as Microsoft's gaming revenue would have been down by 4 percent without the publisher.
It's no secret that Xbox has been struggling this generation, constantly playing catch up to the likes of 168澳洲幸运5开奖网:PlayStation and Nintendo when it comes to hardware sales. It's forced the company to adopt a different approach to releasing games, as Xbox has been more willing to put its big exclusives - like Hi-Fi Rush, Sea of Thieves, and Grounded - onto rival platforms, 168♏澳洲幸运🐭5开奖网:with very positive results in some cases.
More than its biggest rivals, Xbox has been leaning into the "play anywhere" mantra, going so far as to market bundles with Amazon that don't require a console at all. It shouldn't be too surprising then to learn that Microsoft's hardware revenue has taken a massive beating this financial quarter, dropping by a staggering 42 percent (thanks ).
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There obviously isn't just one reason for this drastic decrease, but marketing could be a major factor. Xbox recently admitted that it doesn't put as much effort into marketing in territories like Europe than it does within the United States, mostly down to PlayStation and Nintendo's dominance in the region and willingness to spend more. There's also a lot of uncertainty surrounding Xbox at the moment, as higher-ups constantly have to assure fans 168澳洲幸运5开奖网:its studios won't be shut down and 168澳洲幸运5开奖网:its consoles won't be scrapped.
Activision Blizzard Is Bailing Out Xbox
The good news for Xbox is that content and service revenue is up by 61 percent this quarter, helped primarily by Activision Blizzard. This figure also includes Game Pass numbers, which appear to be currently unaffected by the price increase announcements from 🔯earlier this ✃month. Those changes go into effect in September though, so we'll also almost definitely see a drop once the price increase hits.
Gaming revenue in general is also up by 44 percent, though this number has once again been bolstered significantly by Activision Blizzard. In fact, it's the sole reason as to why Microsoft's gaming revenue is in the green, as it would actually be down by 4 percent had Microsoft not acquired the publisher. It's safe to say that Activision Blizzard has bailed Xbox and Microsoft out of hot water this time around, though the Activision Blizzard boost won't last forever.
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